HYD vs SPY

HYD vs SPY

Which is better, HYD or SPY?

Municipal Bond against Large Cap Blend.

SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window.

Lower Fees: SPYHigher Returns: SPY

MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.

Side-by-Side Comparison

MetricHYDSPY
Expense Ratio0.32%0.09%Best
AUM$4.5B$814.4B
Dividend Yield4.36%1.01%
Holdings2,102505
YTD Return-3.30%+13.34%Best
1Y Return+0.67%+19.97%Best
3Y Return (annualized)+2.72%+21.20%Best
5Y Return (annualized)-1.36%+12.81%Best
Volatility (annualized)63.0%14.5%Best
Max Drawdown-56.8%-34.1%Best
$10,000 over 5 years$9,338$18,270Best
Fund FamilyVanEckState Street Investment Management
CategoryTax PreferredEquity
StyleMunicipal BondLarge Cap Blend
InceptionFeb 4, 2009Jan 22, 1993

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Feb 5, 2009 to Sep 4, 2026 (17.6 years).

HYD vs SPY growth

Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 17.6 years both funds cover.

HYD vs SPY Performance

VanEck High Yield Muni ETF (HYD) is an ETF from VanEck and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year HYD returned +0.67% while SPY returned +19.97%. Year to date, HYD is down 3.30% versus a gain of 13.34% for SPY.

Over three years, HYD compounded at +2.72% per year against +21.20% for SPY; over five years the annualized figures are -1.36% and +12.81% respectively. Across the full 18-year window we track, SPY has the edge at +13.87% annualized vs +4.62%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

HYD has been the more volatile fund, with annualized monthly volatility of 63.0% compared with 14.5% for SPY. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The deepest peak-to-trough decline in our data was -56.8% for HYD and -34.1% for SPY. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.08. They move largely independently of each other.

Fees and Cost Over Time

HYD charges 0.32% per year while SPY charges 0.09%. On a $10,000 position that is $32 vs $9 annually, a gap of $23 per year that compounds over a long holding period. On income, HYD currently yields 4.36% against 1.01% for SPY.

Holdings Overlap

We hold position weights for 494 holdings in HYD and 504 in SPY, totalling 35.9% and 100.0% of the two funds. The two books name no position in common, so there is no overlap percentage to show.

0 positions in common, counted across the 494 positions we hold weights for in HYD and 504 in SPY, against full books of 2,102 and 505.

You are not choosing between two funds in isolation.

Whichever of HYD and SPY you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

HYDSPY

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, HYD or SPY?

HYD has an expense ratio of 0.32% while SPY charges 0.09%. SPY is the cheaper option, by $23 a year on a $10,000 investment.

Which performed better, HYD or SPY?

Over the past year HYD returned +0.67% vs +19.97% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (18 years), HYD annualized +4.62% vs +13.87% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, HYD or SPY?

HYD has been the more volatile fund at 63.0% annualized versus 14.5% for SPY. Worst drawdown: HYD -56.8% vs SPY -34.1%.

Should I hold both HYD and SPY?

HYD and SPY have a monthly-return correlation of 0.08, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

Which pays a higher dividend, HYD or SPY?

HYD yields 4.36% while SPY yields 1.01%, so HYD currently pays the higher dividend yield.

Is SPY better than HYD?

SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.